BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased of Grand Canyon Education, Inc. (“Grand Canyon” or the “Company”) (NASDAQ: LOPE) common stock between January 5, 2018 and January 27, 2020, inclusive (the “Class Period”). Grand Canyon investors have until July 13, 2020 to file a lead plaintiff motion.
Investors suffering losses on their Grand Canyon investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to email@example.com.
On January 28, 2020, Citron Research published a report alleging, among other things, that Grand Canyon was improperly using a “captive, non-reporting subsidiary to hide its liabilities,” thereby “artificially inflat[ing] the [company’s] stock price.”
On this news, the Company’s share price fell $7.43, or over 8%, to close at $84.07 per share on January 28, 2020, thereby injuring investors.
The complaint alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose: (1) that GCU was not a proper non-profit organization as it remained under the control of Grand Canyon, (2) that Grand Canyon was not a third-party service provider to GCU but rather continued to effectively operate the entity, (3) that Grand Canyon employees served as executives of GCU, and (4) that GCU functioned as an off-balance-sheet entity to which Grand Canyon was able to funnel expenses and costs in exchange for a disproportionate amount of revenue, thereby inflating Grand Canyon’s financial results.
If you purchased Grand Canyon common stock, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at www.howardsmithlaw.com.
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